| Question And Answer | |
|---|---|
| Subject: | Capital Gain Deposit Scheme |
| Category: | Income-Tax |
| Querist: | Poli Reddy |
| Answered by: | Advocate Shashi Ashok Bekal |
| Tags: | Capital Gain Deposit Scheme, Capital Gains |
| Date: | July 27, 2022 |
Dear Sir,
What if the spouse decides to put the sale consideration in Capital Gain Account Scheme and willing to purchase a residential property and don’t want to pay the tax
Please do solve my issue ???..
As per section 54/54F of the Income-tax Act, 1961 (Act), the amount of the capital gain which is not appropriated by the assessee towards the purchase of the new asset made within one year before the date on which the transfer of the original asset took place, or which is not utilised by him for the purchase or construction of the new asset before the date of furnishing the return of income under section 139 of the Act, can be deposited by him before furnishing such return.
Where the same is invested within three years, the amount not so utilised shall be charged under section 45 of the Act as the income of the previous year in which the period of three years from the date of the transfer of the original asset expires years.
It can be in joint name . The name of the assessee may be first and spouse name can be second .
Where the same is invested within three years, the amount not so utilised shall be charged under section 45 of the Act as the income of the previous year in which the period of three years from the date of the transfer of the original asset expires years.
THE UNUTILISED AMOUNT SHALL BE CHARGED UNDER SECTION 45.IN RECENT TIMES BECAUSE OF SEC 50C it is common to deposit sales proceeds even ifthe LTCG IS SAY 100000/-Suppose 45 lakhs deposited to save one lakh ltcg in view of hanging sword of sec 50C.
Now matter is this fifty lakhs were never to be utilised and after three years whether one lakh ltg is taxable or 50 lakhs
Please throw light assuming 50C was never invoked and time has passed..
Read 45lakhs for 50 lakhs